Health services had biggest employment gain in 2002

Aging baby-boomers, population growth, and technological advances generated increased demand for healthcare services. Hospitals accounted for the largest share of the job growth, with 113,000 hires, while offices and clinics of medical doctors added 63,000 workers to their payrolls.

Employment in hospitals grew 2.7 percent in 2002, compared with average annual growth of 1.6 percent from 1996 to 2001. This accelerated growth is likely linked to a loosening of labor markets in 2001 and 2002. Acute shortages of workers—in both specialized and nonspecialized occupations—have plagued the industry in recent years, but the recent overall weakening of the labor market has allowed them to reduce some shortages.